I Am Thinking About Becoming Allstate Agent

[Perazzi]

Just had to quit lurking and join for this. Have been an Allstate agent for 8 years and would not recommend to anyone. My agency will be sold finally next month.

In my state, rates are not close to competitive. May be twice Progressive, maybe thrice. HO is based on inflated cost of home. Life is high.

Bonus structure :

1. Must make retention goal set for you.
2. Must make renters and boats and such goals set for you.
3. Must make loss ratio goal set for you
4. Must make life sales goal set for you
5. Must make ALI goal as described above.
Make all of these and you are not finished yet. Allstate has bought into a sales training plan called Woople. You and each of your staff have to watch so many hours of videos and take test on how to sell. Make everthing else and do not do this, NO BONUS.

Oh yeah, Allstate has convinced the IRS you are an Independent Contractor. THey sure have a lot of goal for IC's.

Can not wait til the sale is final.

Run Forrest, RUN

 

[FL P&C Broker]

What am I not understanding about the bold color statement above?

Premium, not commission.

 

[xrac]

What are the implications of this?
Allstate Targets Online Insurance Sales; Buys Esurance, Answer Financial

Allstate Targets Online Insurance Sales; Buys Esurance, Answer Financial

 

[carroll]

My Allstate agent quit after about one year. Told me it was extremely tough to make it. On the other hand, my old Allstate agent was there prob 25 years.

 

[Bertolinoins]

My Allstate agent quit after about one year. Told me it was extremely tough to make it. On the other hand, my old Allstate agent was there prob 25 years.

Allstate, State Farm, Farmers, etc were great opportunities 25 + years ago. With the new contracts you are basically buying a job. You get all of the stress and pressure of business ownership without any of the upside or control. As soon as you start doing really well... the rules, rates and/or commission structure changes.

As an IA, if one of my companies makes a change that doesn't benefit the agents... I have 5
or more companies in my office in the next two weeks offering 20-25% commission to roll the book over. If I want to sell the book, I can sell it to anybody I want under the terms I agree to. I think direct writers are a great place to get some training and get your foot in the door, but they are not the great career opportunities they once were.

 

[VolAgent]

Why would anyone consider Allstate at this point? The company is either bipolar or a pathological liar. No one announce commissions cuts to 8/8 and at the same meeting tells agents that they want and need them.

 

[Bertolinoins]

Why would anyone consider Allstate at this point? The company is either bipolar or a pathological liar. No one announce commissions cuts to 8/8 and at the same meeting tells agents that they want and need them.

The Esurance purchase was odd as well. Are those customers going to be kept in house or assigned to local agents? I suspect they will be kept in house.

 

[xrac]

Allstate, State Farm, Farmers, etc were great opportunities 25 + years ago. With the new contracts you are basically buying a job. You get all of the stress and pressure of business ownership without any of the upside or control. As soon as you start doing really well... the rules, rates and/or commission structure changes.

As an IA, if one of my companies makes a change that doesn't benefit the agents... I have 5
or more companies in my office in the next two weeks offering 20-25% commission to roll the book over. If I want to sell the book, I can sell it to anybody I want under the terms I agree to. I think direct writers are a great place to get some training and get your foot in the door, but they are not the great career opportunities they once were.

That is the fact.

"Allstate, State Farm, Farmers, etc were great opportunities 25 + years ago.

However, they are still recruiting agents because of their names and what use to be. Those agent recruits have woke up in a totally different world.

 

[Crabcake Johnny]

...must be having a really tough time getting people into their "opportunity." I've been spammed by them in Linkedin a few times and twice by mail.

I can think of 20 things I'd want to own in the way of a franchise. A captive insurance outfit wouldn't make the top 100.

 

[Insurance-Guy]

The Esurance purchase was odd as well. Are those customers going to be kept in house or assigned to local agents? I suspect they will be kept in house.

Esurance will be run and operated independently there will be three channels EA's, IA's, and Esuance is for Direct. That is what they said in the conference call. I am a Allstate-IA.